Being reluctant to raise interest rates even 1/4% after seven years of zero has caused investors to start expecting the worst. It is becoming increasingly likely that the August low will be breached but, if it happens, my model would view it as a good short term buying opportunity. Earnings expectations of non-commodity companies in the S & P 500 are still increasing although at a very modest rate. Valuation is still negative but sentiment is quite bullish as small investors and speculators are expecting a disaster. My model is unchanged at 60% exposure.